BNP Paribas Securities Services and Euroclear Bank have branched out their tri-party collateral management service to four new European markets.
The service, which is a collaborative effort between the two companies, is now available in Belgium, France, Germany, and the Netherlands.
The service was first launched in Italy and Spain last year.
“Our joint customers can now take a holistic approach to collateral management and this service affords them the highest levels of cost and risk efficiencies when sourcing and allocating securities. Together with BNP Paribas, we are delivering a client-driven solution that hinges on open-source portfolio optimisation,” said Frederic Hannequart, chairman of Euroclear Bank.
Euroclear’s partnership with BNP Paribas is part of the continued extension of its collateral optimisation platform, Collateral Highway, to more markets.
“Our Collateral Access - Connect service, which enables us to establish links with institutions such as Euroclear Bank while keeping our clients’ assets segregated, is an excellent example of how the industry can work together to help customers access collateral easily and efficiently,” said Alain Pochet, head of clearing, Custody and settlement at BNP Paribas.
The partnership enables sell-side clients of BNP Paribas and Euroclear to optimise equities and fixed income collateral for use in tri-party transactions that are managed by Euroclear.